FHA Mortgage Guide

Carrie says she faces foreclosure. Would an FHA mortgage help?

“I am affected by the foreclosure problem in Massachusetts and have gone through a finance application with my lender who has done absolutely nothing to help me with my finance problem.

“I have been trying to locate the The program Mr. Bush put in effect to help those home owners whose mortgage is in trouble, but with no success. If you could send me the appropriate information for this program and who to contact to get assistance I would appreciate it.

“If I do not get help my family and I will be homeless. I need $9,900 to help me get out of this financial dilemma. The bank will not take a portion of the payment. I am three months behind.”

We don’t know enough about the facts and circumstances associated with Carrie’s situation to comment, one way or another, regarding what program might work in her situation — if any.

That said, there is a basic issue here which ought to be resolved: Most probably Carrie is NOT in touch with the lender, the owner of the loan. Instead she is probably talking to the loan servicer.

The ability of the loan servicer to modify a loan depends on the “pooling and servicing” agreement (PAS) associated with the mortgage. It may give the servicer a lot of latitude — or it may give the servicer none.

Thus it is not fair to automatically assume that the loan servicer is somehow evil or unresponsive. It may well be that the servicer has few options to resolve this matter, or maybe none.

If you are a mortgage lender in Massachusetts and would like to speak with Carrie, please contact us at FHALoanPros. We will forward your contact information. Please include your Massachusetts license number and physical address in the state.

Check out these FHA resources for more information

This entry was posted on Monday, January 21st, 2008 at 2:30 pm and is filed under FHA. You can follow any responses to this entry through the RSS 2.0 feed. You can skip to the end and leave a response. Pinging is currently not allowed.